Ericsson (NASDAQ:ERIC) has signed a contract with leading operator Brasil Telecom for a WCDMA/HSPA network and the deployment and systems integration of their IP Multimedia Subsystem (IMS). Themove is set to boost network capacity and manage increased traffic growth, paving the way for the introduction of advanced broadband and multimedia services.

Under the contract, Ericsson will be the main supplier for the WCDMA/HSPA radio access network in five Brazilian states and the sole supplier of Brasil Telecom's 2G/3G common core network. As part of the core network, Ericsson's Mobile Packet Backbone Network (Mobile-PBN) solution - from Ericsson's Redback portfolio - will provide telecom-quality IP transport and allow the operator to introduce high-quality multimedia services quickly and reliably. Ericsson will also be responsible for network deployment, systems integration, training and support services.

IMS will bring Brasil Telecom's networks into a single-service environment and enable the efficient introduction of new multimedia voice, data, audio and video services across multiple networks.

Francisco Santiago, Vice President, Brasil Telecom, says: "This contract marks a significant step towards an all-IP network and is further recognition of our strong partnership. Ericsson's local capabilities in production and implementation will allow us to boost network capacity and extend our market leadership in broadband by offering customers seamless access to our range of broadband services in a very short time."

Johan Wibergh, President, Ericsson Brazil, says: "We are honored to be selected by Brasil Telecom as the main supplier for its WCDMA/HSPA network, powered with our IMS solution. Brazil is a very demanding market for both operators and vendors, and our solutions will enable Brasil Telecom to offer its customers state-of-the-art multimedia services with a very short time-to-market due to our local capabilities."

Ericsson is the industry leader in IMS and has signed more than 50 contracts, of which 22 are already commercially launched.

Ericsson is the world's leading provider of technology and services to telecom operators. The market leader in 2G and 3G mobile technologies, Ericsson supplies communications services and manages networks that serve more than 195 million subscribers. The company's portfolio comprises mobile and fixed network infrastructure and broadband and multimedia solutions for operators, enterprises and developers. The Sony Ericsson joint venture provides consumers with feature-rich personal mobile devices.

Ericsson is advancing its vision of 'communication for all' through innovation, technology, and sustainable business solutions. Working in 175 countries, more than 70,000 employees generated revenue of USD 27.9 billion (SEK 188 billion) in 2007. Founded in 1876 and headquartered in Stockholm, Sweden, Ericsson is listed on the Stockholm and NASDAQ stock exchanges.